SNT Energy's local subsidiary in Saudi Arabia, SNT Gulf, became the first HRSG (Heat Recovery Steam Generator) company to be officially recognized for its local production capabilities in Saudi Arabia and has signed a "localization agreement."
SNT Gulf, a wholly owned subsidiary of SNT Energy, announced on May 29 that it had signed a localization agreement with the Saudi Local Content and Government Procurement Authority, an agency under the Saudi Ministry of Energy, at the ministry's headquarters in Riyadh on May 28.
The signing ceremony was attended by Ahmed Al-Zahrani, Deputy Minister of Energy of Saudi Arabia; Abdulrahman bin Abdullah Al-Samari, CEO of the Local Content and Government Procurement Authority; as well as SNT Energy President Shin Kyungin and SNT Gulf CEO Oh Youngseok, among other Saudi government officials.
SNT Energy's local subsidiary in Saudi Arabia, SNT Gulf, and a representative from the Saudi local procurement agency are signing an agreement for the localization of HRSG manufacturing. Provided by SNT Energy
With this agreement, SNT Gulf's HRSG will be included in the "Mandatory Product List"?a list of items that must be purchased locally in Saudi Arabia.
The Saudi government's Mandatory Product List is part of a localization policy aimed at encouraging the development of domestic industries and promoting the advancement of national infrastructure. Companies and products listed receive additional points when participating in public tenders.
Inclusion on this list requires a thorough review and rigorous on-site verification of the local company's investment record, technological capabilities, and production facilities. SNT Gulf completed the final on-site verification process in April.
SNT Gulf explained that it has been working toward this HRSG localization agreement by signing a "Corporate Purchase Agreement" for air coolers with Saudi state-owned company Aramco in November 2022, carrying out the first plant expansion for local manufacturing of nuclear power equipment such as HRSGs and surface condensers in January 2023, and planning a second expansion in January 2025.
An SNT Energy official stated, "This agreement is a recognition by the Saudi government of SNT Energy's technological capabilities and commitment to local investment. Following our achievements in air coolers, this will provide a foundation to further strengthen our strategic position in the Saudi HRSG market."
The official added, "We will continue to actively contribute to the development of local industry in connection with the Saudi government's Vision 2030 policy."
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